Dutch food group CSM is to restructure its North American distribution activities in bakery ingredients.

Four BakeMark East distribution centres in the eastern United States, in Buffalo, Saratoga, St Louis and New Orleans, will be divested, the company said. The head office of BakeMark East in Schaumburg, Illinois, will be closed. The remaining activities of BakeMark East will be merged with BakeMark West, operating under the name of BakeMark USA from mid-May 2005.

“This restructuring will lead to significant cost savings,” the company said. “Moreover, the national orientation of BakeMark USA will result in an improved and more efficient approach to the market.”

CSM had, it said, a “zero-tolerance approach to loss-making activities.” The restructuring would lead to a marked improvement in profitability. CSM Bakery Supplies North America supplies bakery ingredients and products including functional ingredients, bakery mixes, fruit and cream fillings, and frozen batters, cakes and dough.